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Opposition leader Tommy Lapid of Shinui has called on Prime Minister Ariel Sharon not to bulldoze the more than 1200 homes that settlers are due to evacuate in the Gaza Strip and 4 West Bank settlements this fall. Lapid says the Palestinians demand that Israel do so because they want to turn into anti-Israeli propaganda. During her recent visit, U.S. Secretary of State Condoleezza Rice announced that Israel would demolish the buildings and the Palestinians would be compensated for doing the clean up. However, it appears her statement was premature.

Prime Minister Ariel Sharon spelled out where he stands before, during and after Israel's August withdrawal from the Gaza Strip and 4 West Bank settlements. Sharon headed a team of Israeli officials at a hearing of the joint Defense and Constitution committees in the Knesset. Earlier in the day, the IDF chief of military intelligence rated Palestinian leader Mahmoud Abbas's chances of success as 'slim to very slim'. General Aharon Zeevi Farkash also warned if the terror organizations are not happy with political progress after Israel's disengagement, they will launch a new wave of terrorism, mainly from the West Bank.

Opponents to Prime Minister Ariel Sharon's disengagement plan stepped up their protest campaign by blocking roads and in the Gaza Strip right wing fanatics clashed with Palestinians nearly 'lynching' a Palestinian youth. There was wall-to-wall condemnation of the Israeli attackers, some were arrested and all were evicted from an unoccupied building they took over called the Palm Beach Hotel. Israelis were also getting fed up with the demonstrators blocking roads with sit-down protests and some drivers took the law into their own hands and clashed with the protesters.

Finance Minister Binyamin Netanyahu has ended days of speculation that he will bolt the government and lead the campaign to halt Israel's withdrawal from the Gaza strip and 4 West bank settlements. Netanyahu, Prime Minister Sharon's main rival in the Likud, has declared that he is sticking in the cabinet although he believes the disengagement is a big mistake which will jeopardize the country's future security. His announcement came as thousands of disengagement opponents stepped up their campaign by blocking traffic around the country. The Israel Police warn they will not tolerate such a move and ready to move in with force. David Essing reports on developments as the disengagement countdown continues.

U.S. Secretary of State Condoleezza Rice came and went; so did Palestinian leader Mahmoud Abbas. With less than two months to D-day for Israel's disengagement, the Palestinian attacks continue. Two Israelis were killed and the lives of scores of Israelis saved, when a Palestinian suicide bomber was caught on her way to blow up Soroka hospital in Beer-Sheva with ten kilograms of explosives packed inside her underwear. At the Jerusalem summit, Prime Minister Sharon blasted Abbas for not ordering his estimated 30,000 plus security personnel to crack down on the terrorists. Abbas says No Way! He is not strong enough and he will persuade the Palestinians to follow him and not the suicide bombers. Secretary Rice was again showing the U.S. flag, glossing over the terrorism and hoping for accelerated progress on the Roadmap. And Sharon's Likud rival Binyamin Netanyahu is facing mounting pressure to spearhead the campaign against the withdrawal.

After two Israelis were killed by Palestinian attacks, it came as no surprise that terrorism was at the top of the agenda when Israel's Prime Minister Sharon met Palestinian leader Abbas in Jerusalem. Sharon told Abbas the Palestinian attacks during the current lull were intolerable and Israel will not sit idly by while her citizens are being killed and wounded. At the same time, the Prime Minister spoke of new Israeli incentives. For his part, Chairman Abbas explained that he is still weak and needs Israel's help to strengthen his hand'. Although the two sides crossed swords over the issue of terrorism, they did agree to cooperate on several aspects of Israel's upcoming disengagement in the Gaza Strip and 4 West Bank settlements.

U.S. Secretary of State Condoleezza Rice has come and gone - mission accomplished. Her job was to keep the ball rolling for Israel's withdrawal from the Gaza Strip and 4 West Bank settlements starting in the second half of August. In the Gaza Strip, Palestinian terrorists opened fire in the Gaza Strip killing one IDF soldier and wounded two others. It was only one of the daily violations of the current 'lull' in the Palestinian attacks. Meanwhile, U.S. Secretary of State Condoleezza Rice met with Prime Minister Ariel Sharon to agree on closer Israeli- Palestinian cooperation for Israel's withdrawal from the Gaza Strip and 4 West Bank settlements starting in mid-August.

An early election atmosphere is building in Israel. First, Knesset Speaker Reuven Rivlin charged that Prime Minister Ariel Sharon cannot lose no-confidence votes in Parliament and continue to carry out the withdrawal from the Gaza Strip and four West Bank settlements this fall. Several Likud MKs have also called for an election before the disengagement is implemented. Former Likud cabinet minister Dan Meridor believes an early election will take place after the disengagement. Meanwhile, Likud rebel MK Uzi Landau calls on Finance Minister Bibi Netanyahu and other Likud cabinet ministers to quit the government in order to block the pullout.

Israel's 'opposition-coalition' Labor party is headed into the home stretch for its primaries for party leadership. Labor recently joined Sharon's coalition cabinet with one goal only, to support the Prime Minister's plan to withdraw from the Gaza Strip and 4 West Bank settlements against the wish of most of his own Likud party members. Labor rejects nearly every other position taken by Sharon and the Likud. How long will this bizarre state of affairs carry on after this fall's pullout? Sharon may be relying on Palestinian leader Mahmoud Abbas and U.S. President George W. Bush.

Is it now official? A senior official of the Palestinian Authority declares the PA will not disarm the Palestinian terror organizations. This is the first clause in the Roadmap peace plan that Prime Minister Ariel Sharon demands must be implemented. The Palestinian shelling in the Gaza Strip again violated the cease-fire killing 3 people and wounding several others this week. The terrorists also launched more Qassam rockets across the border at the Israeli town of Sderot. Miraculously, no one was seriously hurt when one of the rockets smashed through the roof into the living room of an apartment. Israel did not retaliate except for pin point rocketing of terrorists planning more attacks. However, Israel has officially informed Palestinian leader Mahmoud Abbas that no attacks will be tolerated when Israel starts evacuating the Gaza Strip and 4 West Bank settlements starting in August. And the Shabak's super 'spook' Avi Dichter went public after retiring; he rejected the notion that the disengagement will trigger a new Palestinian war of terrorism.

Former Shabak Security Chief Avi Dichter rejects the assessment of former IDF Chief of Staff Moshe Yaalon that the Palestinians are likely to launch a new war of terrorism after Israel implements a withdrawal from the Gaza Strip and 4 settlements in West Bank this fall. In interviews with Israeli newspapers, Dichter says the Palestinians realize that after murdering 1042 Israelis during the past four and a half years, they have achieved nothing and have actually been losing the confrontation. The former security chief warned that Israeli extremists now realize that the Prime Minister is bound on carrying out the disengagement and would assassinate Sharon if given the chance. Dichter also reveals how the 'targeted killing' of terrorist leaders has been so effective in combating Palestinian terrorism.

In the Gaza Strip, Palestinian terrorists again bombard Israeli settlements and the town of Sderot across the border. Although they kill 3 people and injure other civilians, Prime Minister Sharon declares Israel's unilateral withdrawal will be implemented on schedule starting after August 15th. However, Sharon is apparently losing the support of Israelis for the pullout in the wake of the Palestinian attacks. What is Sharon's game plan?

Israel's Defense Minister Shaul Mofaz took the wraps off plans for the upcoming Israeli evacuation of the Gaza Strip and 4 settlements in the northern West Bank. The unilateral evacuation is planned to start shortly after August 15th. In the Knesset Foreign Affairs and Defense Committee, Mofaz also disclosed that call-up orders are now being issued to IDF reservists who are to participate in the evacuation of some 8.000 settlers from their homes.

Former IDF Chief of Staff Moshe 'Bogey' Yaalon retired this week warning that the Palestinians have not given up their campaign to destroy the Jewish state, one way or the other. In the ruling Likud party, Finance Minister Bibi Netanyahu quoted Yaalon in declaring that he will vote against Prime Minister Ariel Sharon's plan to evacuate the Gaza Strip and 4 settlements in the northern West Bank. In a related development, Israeli security forces foiled an Islamic Jihad plot to send two suicide bombers into Jerusalem. This as Israel released 398 Palestinian security prisoners; they were actually arrested before they could kill or wound any Israelis.

British Ambassador Simon McDonald says Tehran is seeking to renew its uranium enrichment program but the E-3 (Britain, France & Germany) is talking a tough stand in negotiations with the Iranians. In an address to Israel's Council on Foreign relations in Jerusalem, the Ambassador warned that Iran's drive for nuclear weapons is the world's #1 problem. On the Israeli Palestinian, the British diplomat said things were looking up in light of Israel's plan to withdraw from the Gaza Strip and 4 settlements in Samaria. However he added that Prime Minister Sharon's disengagement plan must lead to further movement.

Lt. Gen. Dan Halutz became the IDF's new Chief of Staff today - outgoing commander Gen. Moshe Yaalon bowed out with a grave warning of new Palestinian terrorism. Yaalon told the Israeli daily Haaretz that the Palestinians will launch a new war of terrorism if they do not get their way after Israel's upcoming evacuation of the Gaza Strip and 4 settlements in northern Samaria. Reacting to the assessment, Deputy Premier Ehud Olmert warned if the Palestinians do renew the violence, Israel would hit back hard. In light of the grim outlook of Israel's intelligence community it now appears likely that the cabinet will instruct the IDF to remain deployed in northern Samaria to prevent terror attacks on the metropolitan area of Tel Aviv.

Foreign Minister Silvan Shalom has reacted to allegations that he acted inappropriately in seeking to fire Israel's Ambassador to Washington Danny Ayalon; this because Shalom's wife Judy was not photographed with Madonna during her visit to Israel. Shalom told the Knesset Foreign Affairs and Defense Committee that the entire affair was a 'smokescreen' blown out of proportion and everyone should wait for the results of the Civil Service enquiry that is now underway at the Washington embassy. However several opposition members called on the Foreign Minister to resign.

The 'Tahdia' cease-fire is now in danger of collapsing after Hamas terrorists launched their biggest assault since February. One Israeli civilian was wounded by shrapnel and some damage was caused. Deputy Defense Minister Zeev Boim has declared that Israel will not carry out the upcoming Gaza withdrawal under fire; the IDF would first have to cope with the Palestinian violence.

The new Shabak Security Chief Yuval Diskin has unveiled his thinking on both the Arab and Jewish threats facing Israel today. In his first briefing to the Knesset Foreign Affairs and Defense Committee Diskin presented a detailed assessment against the backdrop of Israel's controversial plan to evacuate the Gaza Strip and 4 northern Samaria settlements starting in August.